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ARTICLE · 22 DECEMBER 2021

FTC Signals Interest In Noncompete Clauses

Ogletree, Deakins, Nash, Smoak & Stewart
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On July 9, 2021, President Biden issued an executive order aimed at promoting competition in the economy, including directing the Federal Trade Commission (FTC)...

United StatesAntitrust/Competition Law

On July 9, 2021, President Biden  issued an executive order aimed at promoting competition in the economy, including directing the Federal Trade Commission (FTC) to consider exercising its rulemaking authority “to curtail the unfair use of non-compete clauses and other clauses or agreements that may unfairly limit worker mobility.”

On November 12, 2021, the FTC signaled it may be beginning to act on President Biden's direction when it released for public comment its draft strategic plan for fiscal years 2022 to 2026, containing various strategic goals and objectives. These goals and objectives include “[p]rotect[ing] the public from unfair or deceptive acts or practices in the marketplace”; “[p]romot[ing] an open and competitive marketplace for the benefit of the public”; “[i]dentify[ing], investigat[ing], and tak[ing] actions against anticompetitive mergers and practices”; “[e]ngag[ing] in research, advocacy, and outreach to promote public awareness and

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